As bitcoin BTC prices near $90,000, a wave of euphoria seems to be sweeping through the market, raising concerns of a potential price pullback. This analysis comes from Singapore-based crypto trading firm QCP Capital.

"With BTC's break of key resistance and its multi-month range, the market is certainly in a state of euphoria," QCP Capital noted in a Telegram announcement.

While the firm remains optimistic about the market’s direction, it cautions that pullbacks may occur, particularly due to leverage washouts.

High funding rates in perpetual futures suggest that the long positions might become crowded. Any slight price decrease could force over-leveraged traders to close their positions, intensifying downward market pressure—a common scenario in preceding bull markets.

Currently, BTC trades at approximately $88,300, showcasing a nearly 30% increase within a week, with prices peaking at $89,622 during overnight trading. This surge is attributed to the enthusiasm following Donald Trump's recent electoral success on November 5, leading traders to expect a continuous upward trend.